The Futura Loyalty Group Inc.
TSX VENTURE : FUT

The Futura Loyalty Group Inc.

June 30, 2011 15:53 ET

Futura Announces Closing of Private Placement

TORONTO, ONTARIO--(Marketwire - June 30, 2011) - The Futura Loyalty Group Inc. (TSX VENTURE:FUT) ("Futura" or the "Company") has closed the first tranche of an equity financing by way of a private placement of an aggregate of 15,900,000 units ("Units") at a price of $0.05 per Unit for gross proceeds of $795,000 (the "Initial Closing"). The gross proceeds from the Initial Closing are intended to primarily be used to fund ongoing sales and operations. The Initial Closing was completed on June 30, 2011 (the "Closing Date").

Each Unit consists of one common share of the Company (a "Common Share") and one Common Share purchase warrant (a "Common Share Warrant"). Each Common Share Warrant entitles the holder to purchase one Common Share at a price of $0.10 for a period of 5 years from the Closing Date.

All of the securities issued on the Closing Date are subject to restrictions on resale until October 31, 2011 as prescribed under applicable securities laws and the policies of the TSX Venture Exchange ("TSXV"). The private placement is subject to final approval by the TSXV. After giving effect to the Initial Closing, an aggregate of 179,915,651 Common Shares are issued and outstanding.

One of the investors under the first tranche of the Initial Closing is a director of the Company and is a "related party" within the meaning of Multilateral Instrument 61-101 ("MI 61-101"). The Company relied on exemptions contained in MI 61-101 from obtaining a formal valuation and minority approval since all of its securities are listed on the TSXV and, at the time the transaction was agreed to, neither the fair market value of the subject matter of, nor the fair market value consideration for the transaction, insofar as it involved the related party, exceeded 25% of the Company's market capitalization. The Initial Closing was completed within 21 days of the date of filing of a material change report in connection with the closing. Management of the Company has determined that such closing was reasonable and necessary in the circumstances.

About Futura Loyalty Group

The Futura Loyalty Group Inc. is an industry-leading provider of branded loyalty reward currencies, private branded loyalty programs and targeted marketing solutions using email, mobile, direct mail and the web. Futura's loyalty services include member account set up, management and reward redemption platform, a web-based program transaction reporting interface for merchants, a robust offer management system, retail POS Integration for card swipe issuance and a proprietary web based issuance solution. For more information regarding Futura Loyalty Group, visit www.tflg.ca.

The TSX-Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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